| Industry Trends Report | |
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| Read all the reports from 2008 here. | |
Steve Lawser, Executive Director. WCMA
In the face of a challenging economy, Wood Components Manufacturers Association (WCMA) members anticipate that sales will increase by about 5 percent this year.
Building products remain the major market for the $5 billion dimension and components sector, followed by cabinets and furniture.
“WCMA will continue to focus on its marketing and promotion activities in an effort to help members identify new markets and customers for the various wood component products they produce,” says association executive director Steve Lawser.
The idea is for the association to provide a one-stop shopping source, with the ability to supply components that meet the needs of all customer sectors.
Expectations are for housing to recover sometime in the 2008-’09 time frame. In the meantime, remodeling is expected to stay fairly steady. “This is good news for WCMA members, since more custom and higher-grade wood products are used in remodeling,” Lawser says.
On the nonresidential side, demand continues for mouldings, trim, millwork and other interior furnishings for restaurants, hotels, offices, public buildings, medical facilities and schools, as well as commercial renovation and new construction projects.
Imports of components and finished products remain a major concern. But the declining dollar and wage increases in overseas factories will boost U.S. competitiveness in domestic and export markets, Lawser says.
Domestic dimension and component makers can offer their U.S. customers faster delivery on shorter lead times and the ability to deliver high-quality and smaller custom orders. Ready access to the North American timber resource provides another key edge over off-shore competitors.
There is a greater need for U.S. producers to focus on cost reduction, and to encourage industry education and R&D to make the most of these advantages, says Lawser.
Operating options, Lawser suggests in a presentation prepared for WCMA might include total supply chain management and choosing to focus on a specific market niche or to diversify into a broader customer base.
WCMA members, Lawser says, “are focusing on their strengths, providing customers with unique designs and features — mass customization rather than mass production.”
The association is helping to deliver this message by exhibiting at a growing number of domestic and overseas trade shows. The goal is to increase exports as well as domestic sales, says Lawser.
The WCMA as made appeared at a number of trade shows so far this year, including the furniture fairs in Singapore and Malaysia, and the upcoming ZOW show in Italy in October. It will also be at the New England Industrial Woodworking Expo in May, and at this year’s IWF in August.
The association’s own Fall Conference and Plant Tour is slated for Sept. 28-30.
The association’s Dimension & Components Market Study, issued in February, tracks component trends in end-use markets, covering species, grades and types of products manufactured. Its Wage & Benefit Survey will be issued in June, followed in July by the IWF issue of its buyers guide.





